On Assignment Inc.’s acquisition of an Atlanta-based staffing physician staffing firm is expected to bolster its national presence.
The Calabasas-based company has agreed to buy HealthCare Partners Inc. for its VISTA Staffing Solutions division, which provides temporary physician staffing and permanent physician search services.
“The acquisition of HCP will increase VISTA’s size and the subspecialties it serves, and will bolster VISTA’s presence in the southeast region of the United States,” said Peter Dameris, On Assignment’s president.
On Assignment will pay $15 million at closing with a two-year earn-out opportunity of up to $3.7 million. On Assignment used a combination of cash on hand and borrowing under its senior revolving credit facility to fund the acquisition.
On Assignment expects to achieve an after-tax savings of about $450,000 per year over the next 15 years due to the election to classify the acquisition as an asset sale.
HCP, which generated about $20 million in 2010 revenues, was recently named the 12th fastest growing staffing firm in the United States by Staffing Industry Analysts. On Assignment expects the acquisition to be immediately accretive to its earnings.
HCP has 41 employees and makes physician placements in 14 specialties across 24 states. HCP founders Ruddy and Rhonda Polhill will continue working with the company.